Air date: October 2nd, 2013
On one foggy night, James plays a trick on Percy by making up a story about the Phantom Express, but later finds out that the trick has gone too far as Percy and Stephen falls off the bridge and into a dry moat.
Tropes featured in the episode:
- Believing Their Own Lies: James begins to believe in his own story about the Phantom Express after hearing Percy and Stephen's whistling.
- Bully Hunter: Thomas tries to fend off James teasing Percy. Stephen does the same at first, but soon ends up victim himself.
- "Everybody Laughs" Ending: Subverted, when the engines start laughing about James being spooked, only for James to be startled again by an owl.
- Hidden Depths: One of very few James centered episodes that doesn't revolve around his vanity whatsoever, revealing a cheeky prankster side to his personality.
- Laser-Guided Karma: Although James apologetically admits he made up the ghost story, he was none the less punished by The Fat Controller by having him pulling the mail train for a month.
- Lovable Coward: Percy and Stephen, and arguably even James later on.
- Miles Gloriosus: James. Also Stephen, despite assuring Percy there are no ghosts, very quickly begins to fall for James' pranks.
- My God, What Have I Done?: James felt terrible after finding out that Percy and Stephen have fallen on the moat due to his make-believe Phantom Express story.
- The Prankster: James.
- Unishment: Oddly inverted, The Fat Controller punishes James by letting him pull the mail train for a month, although this seems more of a punishment for Percy who loves pulling the mail so much (though the latter is still amused regardless).
